BILL NUMBER: SB 1762 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 6, 2008
AMENDED IN SENATE APRIL 24, 2008
INTRODUCED BY Senator Perata
FEBRUARY 22, 2008
An act to add Division 25.7 (commencing with Section 38700) to the
Health and Safety Code, relating to greenhouse gas reduction
representations.
LEGISLATIVE COUNSEL'S DIGEST
SB 1762, as amended, Perata. Advertising: greenhouse gas credits.
Under existing law, a person or entity that represents that a
consumer good that it manufactures or distributes is not harmful to,
or is beneficial to, the natural environment, through the use of
specified environmental terms, is required to maintain in written
form in its records information and documentation supporting the
validity of the representation, as specified. Existing law provides
that it is unlawful for a person to make any untruthful, deceptive,
or misleading environmental marketing claim, whether explicit or
implied. A violation of these requirements is a misdemeanor.
This bill would make it unlawful for a person or entity to
represent in an advertisement, in promotional material on the
Internet, or in any other sales or promotional materials made
available to the public, for the sale or use of a greenhouse gas
credit or emission reduction, that the credit or reduction reduces
greenhouse gas emissions unless certain requirements are met. The
bill would also require a person or entity that represents in an
advertisement, in promotional material on the Internet, or in any
sales or promotional materials, for the sale or use of a greenhouse
gas credit or emission reduction, that the credit or emission
reduction results in a reduction of greenhouse gases to maintain in
written form and make available to the public certain information and
documentation supporting the validity of that representation. A
violation of these provisions would not be a crime, but
would be punishable by a specified civil penalty and would
create a civil cause of action.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Division 25.7 (commencing with Section 38700) is added
to the Health and Safety Code, to read:
DIVISION 25.7. Greenhouse Gas Reduction Representations
38700. The Legislature finds and declares all of the following:
(a) Global warming poses a serious challenge to the world's
environment and economy.
(b) With increasing concern regarding climate change, there has
been an increase in the advertising, sale, and transfer of greenhouse
gas emission reduction credits, offsets, and similar products
designed to allow individuals or entities, or both, to purchase
emission reduction credits in lieu of actually making those
reductions themselves.
(c) Consumers and other members of the public have few protections
or standardized methods by which to ensure that they are purchasing
or obtaining emission reduction credits that actually reduce
greenhouse gases, reduce global warming, and improve the environment.
(d) The purpose of this division is to provide consumers with the
protections needed to ensure that they are purchasing credits that
actually result in emission reductions and that warrant their
expenditures for those credits.
38701. (a) For the purposes of this division, "greenhouse gas
credit," "emission reduction," "credit," "offset,"
"reduction," or any similar term, means a voluntary reduction in the
production of greenhouse gases undertaken for the purposes of
selling, trading, or otherwise providing the credit or emission
reduction to another party.
(b) For the purposes of this division, "person" has the same
meaning as set forth in subdivision (c) of Section 17577.1 of the
Business and Professions Code.
38702. It is unlawful for any person to represent in an
advertisement, in promotional material on the Internet, or in any
other sales or promotional materials made available to the public,
for the sale or use of a greenhouse gas credit or emission reduction,
that the credit or reduction reduces greenhouse gas emissions unless
it meets one or more of the following conditions:
(a) The credit or emission reduction has been approved by the
State Air Resources Board as being in compliance with Division 25.5
(commencing with Section 38500), including, but not limited to,
Section 38571.
(b) The credit or emission reduction complies with one or more
protocols for voluntary emission reductions of greenhouse gases
adopted by the California Climate Action Registry pursuant to former
Chapter 6 (commencing with Section 42800) of Part 4 of Division 26,
as effective on December 31, 2007.
(c) The person demonstrates, and discloses in any advertising or
other sales or promotional material made available to the public,
that the credit or emission reduction meets all of the following
conditions:
(1) The credit or emission reduction is quantifiable and
measurable.
(2) The credit or emission reduction is surplus, and is in
addition to any greenhouse gas emission reduction that otherwise
would occur.
(3) The credit or emission reduction is verifiable and enforceable
by a state, regional, or local agency within the State of
California.
(4) The credit or emission reduction does not result in an
increase in the emission of criteria pollutants or toxic air
contaminants.
(5) The credit or emission reduction does not result in adverse
environmental impacts, including impacts on species, habitat,
ecosystems, land use, biodiversity, air quality, water supply and
quality, access to food, and production of food.
38703. (a) Any person who represents in an
advertisement, in promotional material on the Internet, or in any
other sales or promotional materials, for the sale or use of a
greenhouse gas credit or emission reduction, that the credit or
emission reduction results in a reduction in greenhouse gases, shall
maintain in written form and make available to the public all of the
following information and documentation supporting the validity of
the representation:
(a)
(1) The basis for the claim, as provided under Section
38702.
(b)
(2) Information on any significant
adverse environmental or public health impacts associated with the
creation and maintenance of the credit or emission reduction ,
including impacts on species, habitat, ecosystems, land use,
biodiversity, air quality, water supply and quality, access to food,
and production of food .
(c)
(b) A retailer that does not initiate a representation
by advertising or through other means available to the public shall
not be deemed to be in violation of this section.
38704. (a) A violation of this division is punishable by a civil
penalty not to exceed two thousand five hundred dollars ($2,500) per
violation, and by the cost of the purchase of the emission
reduction credit, offset, or emission reduction.
credit, offset, or reduction as defined pursuant to subdivision (a)
of Section 38701.
(b) A violation of this division creates a civil cause of action
that may be brought by an individual or a district attorney.
(c) Notwithstanding any other provisions of law, a violation of
this division is not a crime.